Perth's forecast hinges on rapid population growth, tight supply, and active first-time buyer programs driving persistent demand.

Supply shortages and ongoing incentives continue to support demand in Brisbane and other overheated markets, though affordability remains a key constraint.

Analysts also contend rate holds or small hikes will temper price growth only modestly, with the policy still supporting demand over time.

Overall outlook points to Perth leading growth, while affordability and policy measures shape dynamics across all capitals.

Perth is expected to lead national housing growth in 2026, with Sydney, Melbourne, and Brisbane also forecast to rise—Perth topping the gains as prices surge across major capitals.

KPMG projects 2026 price increases of about 12.8% in Perth, 6.8% in Melbourne, 5.8% in Sydney, and 10.9% in Brisbane, reflecting a front-loaded growth pattern in Western Australia.

In 2025, Perth saw the strongest price surge nationwide, up roughly 16.4, with the median house price reaching about $1.09 million.

Perth unit prices are forecast to rise by about 11.6% in 2026 and 3.9% in 2027, signaling relative resilience of apartments compared with houses.

Treasury modelling of the 5% Deposit Scheme suggests only a modest overall price lift of around 0.5% over six years, implying long-term policy impact rather than near-term spikes.

If rates rise, growth is expected to slow but not reverse; affordability pressures could push buyers toward lower-priced properties, including units, which may outpace house-price growth.

Population growth, a housing shortage, first-home buyer incentives, and the expanded Deposit Scheme are sustaining price momentum across multiple years.

Economists remain divided on 2026 pace, with some predicting gradual rises amid ongoing shortages and potential rate changes.